08 August 2012 Regular MINUTES OF THE VAN BUREN, ARKANSAS
CITY COUNCIL MEETING AUGUST 27, 2012
The City Council of the City of Van Buren, Arkansas met at 7:00 p.m. Monday, August
27, 2012 at City Hall. The meeting was called to order by Mayor Freeman. On roll call, the
following Council members answered as their names were called: Alderman Parker, Moore,
Ragsdale and Sagely. City Clerk Treasurer Barbie Curtis and City Attorney Candice Settle were
present. Alderman Dodd and Alderman Swaim were absent. This made a total of seven (7)
present. A quorum was declared.
The invocation was given by Alan Swaim, Lay Person at Heritage Church.
Next, Mayor Freeman led the Pledge of Allegiance.
On the agenda next, Mayor Freeman asked to adopt the minutes of the Council Meeting
on July 16, 2012. Alderman Moore made a motion to approve the minutes. Alderman Ragsdale
seconded the motion. On roll call, the following Council members voted aye: Alderman Parker,
Moore, Ragsdale and Sagely. The following voted nay: none.
On the agenda next was to consider A RESOLUTION ACCEPTING THE BID OF
SPRINGDALE DODGE FOR THE PURCHASE OF A 3 /4 TON PICKUP TRUCK FOR
THE VAN BUREN STREET DEPARTMENT, AND FOR OTHER PURPOSES. The Clerk
read the Resolution in its entirety. Mayor Freeman asked if there was any discussion. Mayor
Freeman referred to City Engineer, Brad Baldwin, who said that we are purchasing a utility truck
to be used by the street department mechanic. It will replace a flat bed truck that will be moved
to the Field of Dreams. Alderman Ragsdale seconded by Alderman Parker moved that the
Resolution be adopted. On the Clerk's calling the roll, the following vote resulted: Ayes
Aldenman Parker, Moore, Ragsdale and Sagely. Nays none.
The Mayor thereupon declared the Resolution adopted and signed the Resolution, which
was attested by the City Clerk and impressed with the seal of the City.
THE RESOLUTION WAS GIVEN THE NUMBER 8 -1 -2012
CITY OF VAN BUREN, ARKANSAS
RESOLUTION NO. I 2012
BE IT ENACTED BY THE CITY COUNCIL, FOR THE CITY OF VAN BUREN,
ARKANSAS, A RESOLUTION TO BE ENTITLED:
A RESOLUTION ACCEPTING THE 13I1) OF SPRINGDALE
DODGE FOR THE PURCHASE OF A 3/4 TON PICKUP TRUCK
FOR THE VAN BUREN STREET DEPARTMENT, AND FOR
OTHER PURPOSES.
WHEREAS, the City of Van Buren has advertised for bids for the purchase of a 3/4 ton pickup thick
for the Street Department; and
WHEREAS, bids have been received and opened in accordance with Arkansas law and Springdale
Dodge was the lowest bidder meeting the bid specifications; and
WHEREAS, the City of Van Buren has determined that the bid of Springdale Dodge is the best bid.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF VAN BUREN,
ARKANSAS, THAT:
SECTION 1: The City of Van Buren, Arkansas accepts the bid of 23,303.00 plus applicable sales tax
as submitted by Springdale Dodge as set forth in "Exhibit A" attached hereto; and
SECTION 2: The Mayor and City Clerk are hereby authorized by the City Council for
the City of Van Buren to pay all expenses relating to the purchase and to execute all
documents necessary to effectuate the agreement.
IN WITNESS WHEREOF, the Cq of Van Buren, Arkansas, by its City Council,
did pass, approve, and adopt, by a vote of for and 0 against .e foregoing Resolution
at its regular meeting held on the 27th day of August 2012.
Robert D. Free
Mayor
ATTESTED:
AS, FORM:
Barbie Curtis an.iCe mo ttle
City CldrIcareasurer City Attorney
On the agenda next was to consider A RESOLUTION AUTHORIZING THE
MAYOR TO ENTER INTO A CONTRACT FOR ARCHITECTURAL SERVICES FOR
DESIGN AND PROJECT OVERSIGHT OF A SENIOR CENTER AND STORM
SHELTER. The Clerk read the Resolution in its entirety. Mayor Freeman asked if there was
any discussion. There was none. Alderman Parker seconded by Alderman Moore moved that the
Resolution be adopted. On the Clerk's calling the roll, the following vote resulted: Ayes
Alderman Parker, Moore, Ragsdale and Sagely. Nays none.
The Mayor thereupon declared the Resolution adopted and signed the Resolution, which
was attested by the City Clerk and impressed with the seal of the City.
TIIE RESOLUTION WAS GIVEN THE NUMBER 8 -2 -2012
CITY OF VAN BUREN, ARKANSAS
RESOLUTION NO. g 2012
BE IT ENACTED BY THE CITY COUNCIL, FOR THE CITY OF VAN BUREN
ARKANSAS, A RESOLUTION TO BE ENTITLED:
A RESOLUTION AUTHORIZING THE MAYOR TO ENTER
INTO A CONTRACT FOR ARCHITECTURAL SERVICES FOR
DESIGN AND PROJECT OVERSIGHT OF A NEW SENIOR CENTER
AND STORM SHELTER.
WHEREAS, the City of Van Buren, Arkansas has determined that it needs architectural
services in connection with the design and project oversight of a new senior
center and storm shelter within the City; and
WHEREAS, the City advertised for services and the selection committee recommends
MAHG Architecture, Inc., to be hired for afore mentioned services.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF VAN
BUREN, ARKANSAS:
SECTION I: The Mayor is authorized to enter into a contract with MAHG Architecture,
Inc., to provide architectural services for the project of designing and project
oversight of a new senior center and stone shelter.
IN WITNESS WHEREOF, the City of Van Buren, Arkansas, by its City Council,
did pass, approve, and adopt, by a vote of for and 0 against, the foregoing Resolution
at its Regular Meeting held on the 27 day of August 2012.
Robert II. Fre
Mayor
ATTESTED: OVED AS TO FORM:
a o l Ora
Barbie Curtis Can ce A. S ett e
City Clerk/Treasurer City Attorney
On the agenda next was to consider A RESOLUTION AWARDING A SERVICE
SIDEARM TO PATROL SERGEANT JAMES HURST UPON HIS RETIREMENT. The
Clerk read the Resolution in its entirety. Mayor Freeman asked if there was any discussion.
There was none. Alderman Sagely seconded by Alderman Ragsdale moved that the Resolution
be adopted. On the Clerk's calling the roll, the following vote resulted: Ayes Alderman
Parker, Moore, Ragsdale and Sagely. Nays none.
The Mayor thereupon declared the Resolution adopted and signed the Resolution, which
was attested by the City Clerk and impressed with the seal of the City.
THE RESOLUTION WAS GIVEN THE NUMBER 8 -3 -2012
CITY OF VAN BUREN, ARKANSAS
RESOLUTION NO. 3 -2012
BE IT ENACTED BY THE CITY COUNCIL, FOR THE CITY OF VAN BUREN, ARKANSAS, A RESOLUTION,
TO BE ENTITLED:
A RESOLUTION AWARDING A SERVICE SIDEARM TO
PATROL SERGEANT JAMES HURST UPON HIS RETIREMENT.
WHEREAS, Van Buren Police Sergeant James Hurst is retiring from the city on August 15, 2012,
after 26 years, and 1 month and 15 days of service; and
WHEREAS, Patrol Sergeant James Hurst has demonstrated his dedication to duty and to the citizens
of the City of Van Buren; and
WHEREAS, Upon regular service retirement under honorable circumstances, the City wishes to
recognize Sergeant James Hurst's service as a Police Officer, and award to him his
issued sidearm carried by him at the time of his retirement from service;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF VAN BUREN, ARKANSAS, THAT:
SECTION 1: The City Council for the City of Van Buren adopts this resolution awarding this service
Sidearm, a Glock 22 Generation 4 .40 caliber pistol, Serial Number SZE013 to Patrol Sergeant
James Hurst upon his retirement August 15, 2012.
IN TESTIMONY WHEREOF, the City of Van Buren, Arkansas, by its City Council, did pass, approve,
and adopt, by a vote of. for and °against, the foregoing Resolution a egular meeting held on the 27
Day of August 2012.
I ifiks
Robe a, reeman, Mayor
ATTESTED: APP ROV `r O�:
lu t si 1 'M&
nye
Barbie Curtis, City Clerk/Treasurer Candice Settle, City Attorney
On the agenda next was to consider A RESOLUTION SETTING A PUBLIC
HEARING DATE FOR ABANDONING A PUBLIC RIGHT -OF -WAY IN THE
BOATRIGHT SUBDIVISION INSIDE THE CITY OF VAN BUREN, CRAWFORD
COUNTY, ARKANSAS. The Clerk read the Resolution in its entirety. Mayor Freeman asked
if there was any discussion. There was none. Alderman Moore seconded by Alderman Sagely
moved that the Resolution be adopted. On the Clerk's calling the roll, the following vote
resulted: Ayes Alderman Parker, Moore, Ragsdale and Sagely. Nays none.
The Mayor thereupon declared the Resolution adopted and signed the Resolution, which
was attested by the City Clerk and impressed with the seal of the City.
THE RESOLUTION WAS GIVEN THE NUMBER 8 -4 -2012
CITY OF VAN BUREN, ARKANSAS
RESOLUTION NO. b -2012
BE IT ENACTED BY THE CITY COUNCIL, FOR TICE CITY OF VAN BUREN,
ARKANSAS, A RESOLUTION TO BE ENTITLED:
A RESOLUTION SEEPING A PUBLIC HEARING DATE FOR
ABANDONING A PIIBLIC RIGIL'F-OF -WAY IN THE BOATRIGBT
SUBDIVISION INSIDE' THE CITY OF VAN BUREN, CRAWFORD
COUNTY, ARKANSAS.
WHEREAS, Paul Pitchford has petitioned the City Council of Van Buren, Arkansas, on behalf ofthe
owners of Lots 13 and 14, Lots 23 -26, and Let 35 of Boatright Subdivision to abandon
the public right -of -way along said lots more particularly described as follows:
lgs[iue
35.00 Foot Public Right-of-Way Description
Begirming at the Northwest comer of Lot 13, Boatright Subdivision, same point behrg on
the easterly right -of -way of South 27 Street (formerly Wow as Lexington Street),
thence along the westerly line of Lots 13, 24, and 25, 578 feet to the South, thence along
said rightofway, 35 feet to the East of Lot 35, Flom:right Subdivision, thence along
easterly line of Loa 26, 23, and 14, 578 feet to the North, said point being of the westerly
right-of way line of South 29 Street Boatright Subdivision to the point of beginning.
and,
WHEREAS, All of the property owners being affected by this right -of -way abandonment have
consented by signed petition; and
WHEREAS, The City Council of Van Buren, acting under the authority of A.CA. 14- 199 -103 and
A.C.A. 14- 301 -302, has the authority to abandon public right-of-ways or segments
thereof.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE. CITY OF
VAN BUREN, ARK _NSAS, THAT:
SECTION 1: A Public Hearing is set for September 17, 2012, at 7:00 P.M. in the Van Buren City
Council Room, at which time said Petition shall be presented to the City Council and the
Council will determine at that time ifsuch portion of said public right-of-way should be
abandoned and that all affected property owners and other persons direody interested
have consented to such abandoning.
SECTION 2: The City Clerk of Van Buren, Arkansas, is hereby directed to give notice by publication
once a week for.twe consecutive weeks in some newspaper, published in Crawford
County, advising the property owners and others affected, of said date and time the
Council will hear said Petition.
LN WITNESS WHEREOF, the City of Van Buren, Arkansas, by is City Council, did pass,
approve, and adopt, by a vote of for and 0 against, the foregoing Resolution at is regular meeting
held on the 29 day of August, 2012.
Robert D- Freeman
Mayor
ATTESTED: APP' 0 D AS TO FORM:
vas
Barbie Curtis Candice A. Settle
City Clerk/ Treasurer City Attorney
On the agenda next was to consider A RESOLUTION APPROVING AMOUNTS OF
LIENS TO BE CERTIFIED TO THE CRAWFORD COUNTY TAX COLLECTOR
AGAINST CERTAIN REAL PROPERTIES AS A RESULT OF GRASS CUTTING
EXPENSES AND ABATEMENT OF OTHER NUISANCES BY THE CITY OF VAN
BUREN; AND FOR OTHER PURPOSES. The Clerk read the Resolution in its entirety.
Mayor Freeman asked if there was any discussion. It was decided that Section 2 should read "tax
collector". There was no one present for the property. Alderman Parker seconded by Alderman
Ragsdale moved that the Resolution be adopted with the change in Section 2. On the Clerk's
calling the roll, the following vote resulted: Ayes Alderman Parker, Moore, Ragsdale and
Sagely. Nays none.
The Mayor thereupon declared the Resolution adopted and signed the Resolution, which
was attested by the City Clerk and impressed with the seal of the City.
THE RESOLUTION WAS GIVEN THE NUMBER 8 -5 -2012
CITY OF VAN BUREN, ARKANSAS
RESOLUTION NO. -3 -2012
BE IT ENACTED BY THE CITY COUNCIL, FOR THE CITY OF VAN BUREN, ARKANSAS, A
RESOLUTION TO BE ENTITLED:
A RESOLUTION APPROVING AMOUNTS OF LIENS TO BE
CERTIFIED TO THE CRAWFORD COUNTY TAX
COLLECTOR AGAINST CERTAIN REAL PROPERTIES AS A
RESULT OF GRASS CUTTING EXPENSES AND
ABATEMENT OF OTHER NUISANCES BY THE CITY OF
VAN BUREN; AND FOR OTHER PURPOSES.
WHEREAS, in accordance with Ark Code Ann. 14- 54-901, the City of Van Buren has
corrected conditions existing on certain lots or other real property within the
City of Van Buren and is entitled to compensation pursuant to Ark Code Ann.
14 -54 -904; and
WHEREAS, State law also provides for a lien against the subject properties, with the amount
of lien to be determined by the City Council at a hearing held after notice to the
owner thereof by certified mail or publication (see Exhibit "A" attached hereto),
with said amount (plus a ten percent collection penalty) to be thereafter
certified to the Crawford County Tax Collector; and
WHEREAS, a hearing for the purpose of determining such liens has been set for 7:00 p.m. on
August 22, 2012 in order to allow service of the attached notice of same upon
the listed property owners, by certified mail or publication as is necessary.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VAN BUREN,
ARKANSAS, THAT;
SECTION 1. After notice to property owners, a public hearing was held at 7:00 p.m. on
August 22, 2012, for the purpose of determining the amount of liens, if any, to
be filed against certain real property as the result of grass cutting and abatement
of other nuisances by the City of Van Buren.
SECTION 2. After said public hearing the amounts listed on Exhibit "A" are hereby certified
and are to be forwarded to the Crawford County Tax Collector.
SECTION 3. This Resolution shall be in full force and effect from and after its passage and
approval.
IN TESTIMONY WHEREOF, the City of Van Btiken, Arkansas, by its City Council, did pass,
approve, and adopt, by a vote of 'l for and L against, the foregoing Resolution at its
meeting held on the 27" day of August 2012.
n
Mayor
ATTESTED: APP TO FORM:
aarbie Curtis Se ee I
City Clerk /Treasurer City Attorney
On the agenda next was to consider A RESOLUTION TO AUTHORIZE THE
MAYOR AND CITY CLERK TO REMOVE AND DISPOSE OF CERTAIN FIXED
ASSETS FROM THE CITY OF VAN BUREN'S FIXED ASSET INVENTORY, BY
SEALED BID AUCTION OR OTHER METHODS AUTHORIZED UNDER THE LAW,
AND FOR OTHER PURPOSES. The Clerk read the Resolution in its entirety. Mayor
Freeman asked if there was any discussion. Mayor Freeman noted that this vehicle was hit and
totaled as a result of that collision. The young lady's insurance has already paid for the totaled
vehicle's claim. Alderman Parker seconded by Alderman Moore moved that the Resolution be
adopted. On the Clerk's calling the roll, the following vote resulted: Ayes Alderman Parker,
Moore, Ragsdale and Sagely. Nays none.
The Mayor thereupon declared the Resolution adopted and signed the Resolution, which
was attested by the City Clerk and impressed with the seal of the City.
THE RESOLUTION WAS GIVEN THE NUMBER 8 -6 -2012
CITY OF VAN BUREN,, ARKANSAS
RESOLUTION NO. D 2012
BE IT ENACTED BY THE CITY COUNCIL, FOR THE CITY OF VAN BUREN,
ARKANSAS, A RESOLUTION TO BE ENTITLED:
A RESOLUTION TO AUTHORIZE THE MAYOR ANI) CITY
CLERK TO REMOVE AND DISPOSE OF CERTAIN FIXED
ASSETS FROM THE CITY OF VAN BUREN'S FIXED ASSET
INVENTORY, BY SEALED BID, AUCTION OR OTHER
METHODS AUTHORIZED UNDER THE LAW, AND FOR
OTEIER PURPOSES.
WHEREAS, the City of Van Buren has certain fixed assets on its Fixed Asset inventory list which
are obsolete, and/or beyond repair, and are 110 longer cost effective, so as to no longer be
needed by the City; and
WHEREAS, it is therefore recommended that said items or item be removed from the City's Fixed
Asset Inventory and disposed of by sealed bid, auction or as otherwise authorized
under Arkansas law.
NOW, THEREFORE, BE IT RESOLVED BY TIIE CITY COUNCIL OF VAN BUREN,
ARKANSAS, THAT:
SECTION 1: The Mayor and City Clerk are hereby authorized to remove the following asset or
assets from the Fixed Asset Inventory and to dispose of same by sealed bid, auction or
other such methods authorized under the law:
Department Amount Description of Inventory Control
Police Department $23,207.00 2013 Ford Police Interceptor Sedan PD 715
VINft 1FAHP2M88DG124143
EN WITNESS WHEREOF, the City of Van Buren, Arkansas, by its City Council, did
pass, approve, and adopt., by a vote of 3_ for and Qag.' the foregoing Resolution at its
regular meeting held on the 27' of August 2012.
Robert D. Freem.
Mayor
ATTESTED: A T� FORM:
gt e
Barbie C nis Can ice A. ettle
City Clerk/Treasurer City Attomey
On the agenda next was a public hearing on abandoning an alleyway in Riverside
Addition. There were no issues heard.
On the agenda next was to consider AN ORDINANCE TO ABANDON A PUBLIC
ALLEYWAY IN THE RIVERSIDE ADDITION, INSIDE THE CITY OF VAN BUREN,
CRAWFORD COUNTY, ARKANSAS, AND FOR OTHER PURPOSES. The Clerk read
the Ordinance in its entirety. Alderman Sagely moved that the rules be suspended and the
Ordinance be placed on its second reading. The motion was seconded by Alderman Ragsdale.
The council followed with a unanimous vote. The Clerk then read the Ordinance the second
time.
Alderman Sagely moved that the rules be further suspended and the Ordinance placed on
the third and final reading. The motion was seconded by Alderman Ragsdale. The council
followed with a unanimous vote. The Clerk then read the Ordinance the third and final time.
The Mayor asked if there was any discussion. There was none.
The Mayor then put the question, "Shall the Ordinance pass Motion was made by
Alderman Parker and seconded by Alderman Moore to adopt the Ordinance. On the Clerk's
calling the roll, the following vote resulted: Ayes Alderman, Parker, Moore, Ragsdale and
Sagely. The Mayor declared the motion carried as there were four (4) ayes and (0) nays. Four
(4) votes being necessary for passage.
The Mayor then declared the Ordinance passed and signed same in open Council, duly
attested by the City Clerk.
THE ORDINANCE WAS GIVEN THE NUMBER 14 -2012
NOW, THEREFORE, BELT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
CITY OF VAN BUREN, ARKANSAS VAN BUREN, ARKANSAS, THAT:
ORDINANCE NO. I T -2012 SECTION is The City of Van Buren, Arkansas, hereby releases, vacates, and abandons all its rights,
together with the rights of the public generally, in and to the public alleyway running
between Lots 1 through 6 and Lots 7 through 12 of Riverside Addition in the City of Van
BE IT ENACTED BY THE CITY COUNCIL, FOR THE CITY OF VAN BUREN, Buren, Arkansas, more specifically described above.
ARKANSAS, AN ORDINANCE TO HE ENTITLED:
AN ORDINANCE TO ABANDON A PUBLIC ALLEYWAY IN THE SECTION2 That a copy of this Ordinance bearing original signatures and duly certified by the Ciry
RIVERSIDE ADDITION, INSIDE THE CITY OF VAN BUREN, Clerk shall be filed in the Miscellaneous Records of the Circuit Clerk of Crawford
CRAWFORD COUNTY, ARKANSAS, AND FOR OTHER PURPOSES. County, Arkansas.
WHEREAS, a petition has been filed with the City Council of Van Buren, Arkansas, by Alvin L.
Prieur,Sr, on behalf of the owners of Lots 1 through 6 andLots 7 through 12 of L\ WITNESS WHEREOF, the City of Van Buren Arkansas, by its City Council, did pass,
Riverside Addition to abandon the public alleyway along said lots more particularly approve, and adopt, by a vote of 4 for and 0 against, the foregoing Ordinance at its regular meeting
described as follows: held on the 2T day of August 2012.
Description of Existing 15.00 Foot Public Utility Easement
The West 15' of Lots 1 through 10 and the South 15' of Lots 10 through 12 of
Legacy Valley Phase I, to the City of Van Buren, Arkansas, Crawford County, Robert D. Fr
.Arkansas, as recorded December 28, 2010 as Plat 2010 -27, less and except the Mayor
North 15' of the West 15' of said Lot 1 and the South 7.5' of the West 15' of said
Lot 9 and the North 75'ofthe West 15' of Lot 10 and dm East 7.5' of the South ATTESTED: tVS3 •S TO FORME
15' of said Lot 11 and the West 7.5' of the South 15' of said Lot 12. /r s d
C I
�ln D D /i a a
and, Barbee Corns Canes A. Settle
WHEREAS, alley due notice as required by law, the Council has at the time and place made notice, City Clerkrrreasurer City Attorney
heard all persons desiring to be heard on the question and bas ascertained that the public
alle}way bereinabove designated has therefore been dedicated to the public use as a
public alleyway and that the sane has not been used fora period of more than five (5)
years preceding this date; and that the owners of she property abutting public alleyway to
be abandoned have filed with the Council or have expressed their consent to such
abandonment and the public interest and welfare are not adversely affected by
ahandonmcnt of said public alleyway.
WHEREAS, The City Council of Van Buren, acting under the authority of A.C.A. 14- 199 -103 and
A.C.A. 14-301-302, has the authority to abandon public alleyways or segments thereof
On the agenda next was to consider AN ORDINANCE MODIFYING THE
CONTRACT FOR THE SOUTHSIDE DRAINAGE IMPROVEMENT PROJECT TO
INCORPORATE PROPOSED CHANGE ORDERS; FOR THE APPROPRIATION OF
FUNDS; DECLARING AN EMERGENCY; AND FOR OTHER PURPOSES. The Clerk
read the Ordinance in its entirety. Alderman Parker moved that the rules be suspended and the
Ordinance be placed on its second reading. The motion was seconded by Alderman Moore.
The council followed with a unanimous vote. The Clerk then read the Ordinance the second
time.
Alderman Parker moved that the rules be further suspended and the Ordinance placed on
the third and final reading. The motion was seconded by Alderman Sagely. The council
followed with a unanimous vote. The Clerk then read the Ordinance the third and final time.
The Mayor asked if there was any discussion. Mayor Freeman mentioned that this is the final
change order and will close out this grant and project.
The Mayor then put the question, "Shall the Ordinance pass Motion was made by
Alderman Parker and seconded by Alderman Ragsdale to adopt the Ordinance. On the Clerk's
calling the roll, the following vote resulted: Ayes Alderman, Parker, Moore, Ragsdale and
Sagely. The Mayor declared the motion carried as there were four (4) ayes and (0) nays. Four
(4) votes being necessary for passage.
Motion was made by Aldennan Parker and seconded by Alderman Moore, that the
emergency clause be adopted. On the Clerk's calling the roll the following vote resulted: Ayes
Alderman Parker, Moore, Ragsdale and Sagely. Nays none.
The Mayor then declared the Ordinance passed and signed same in open Council, duly
attested by the City Clerk.
THE ORDINANCE WAS GIVEN THE NUMBER 15 -2012
CITY OF VAN RUREN, ARKANSAS SECTION 2: That in order to modify the amount spent on the contracted repairs hereto, at We amounts
herein, it is further found that there is an immediate need to modify the initial contract
ORDINANCE 140.5 -2012 hereto, and as such an emergency is declared to exist and this ordinance being
necessary for the preservation of the public health, safety, and welfare, shall take full
BE ITENACIED BY THE CITY COUNCIL, FOR THE CITY OF VAN BUREN, ARKANSAS effect from and after its passage and approval.
AN ORDINANCE TO BE ENTITLED: SECTION 3: The Mayor is hereby duly authorized to modify the initial contract in the amount of
AN ORDLNANCE JI ODIFYING THE CONTRACT FOR THE 5239,118.00 to include change order 89, Exhibit "A", in the amount of $4,199.67 for a
SOU'I'HSTDE DRAINAGE IMPROVEMENT PROJECPTO project cost of 5396,859.04 to date, as appropriated herein, to be paid out of capital
INCORPORAT &PROPOSED CHANGE ORDERS; FOR improvements, and to execute all documents, contracts, and agreements natessary to
TILE APPROPRIATION OF FUNDS; DECLARING AN effectuate this Ordinance.
EMERGENCY; AND FOR O'T'HER PURPOSES.
SECTION 4: To the extent there is any conflict this Ordinance hereby amends or supersedes Ordinana(e)
WHEREAS, the City of Van Buren previously contracted with Goodwin Goodwin, Inc. to complex the previously adopted by the City of Van Buren, and the various provisions and parts hereto are
Soutltside Drainage Improvement Project. The initial contract was in the amount of 5239,118.00 hereby declared to be severable, and, if any section or part of section, or any provision or
s end change orders in the amount of $133,56139 come approved by Ordinance No. 13 -2012. A part ofa provision herein, is declared to be unconstitutional, inappropriate, or invalid by
final Change Order #9 in the amount of $4,179.67 is necessary for project completion pursuant to any court of competent jurisdiction, such holding shall not invalidate or affect the remainder of
the attached change order, Exhibit' A making the total project cost 5396,859.04; and this Ihd'uwtee and to that extent the provisions hereto are declared to be severable.
WHEREAS, 'based on a review by the Mayor's once, the City of Van Buren has detenuined that the CV 1, TYN'ESS WHEREOF, the City of Van Buren, Arkansas, by its City Council, did
change orders heat are x the bast interest of the city and will benefit the health, safety and pass, approve, and adopt, by a vote of it for and 0 against, the foregoing Ordnance at its
welfare of the citizens of Van Buren; and regular meeting held on the 27 day of August 2012.
WHEREAS, the City Council has determined, pursuant to ARK CODE ANN. 14-58- 303(bx2)0) that
exceptional circumstances exist, specifically the on -going name of this project, which renders
the foetal competitive bidding process unpractical andbr unfeasible; and
l ea
WHEREAS, 'a state of emergency exists because the drainage and improvements herein are needed Robert D. Freeman
eeman
immediately to provide for the health, safety, and welfare of the citizens of Van Buren and to
Mayor
preserve the pmpeny of the city.
NOW, THEREFORE, DE IT ORDAINED AND ENACTED BY THE on COUNCIL OF THE
CITY OF VAN MYREN, ARKANSAS, THAT; ATTESTED, /n1 'E TO FORM:
SECTIONI: The City Council in accordance with the terms of ARK. CODE ANN 14 -58- &St II
303(b)O(B), hereby waives the requirement of competitive bidding m this particular ease, as Barbee Curtis l ace A. nettle
such procedure is not deemed feasible or practical, and hereby authorizes and directs the Mayor City Clerk /Treasurer City Attorney
th
to modify e contracts for the above described Improvements.
On the agenda next was to consider AN ORDINANCE AUTHORIZING THE
ISSUANCE OF SALES AND USE TAX BONDS, SERIES 2012 FOR THE PURPOSE OF
FINANCING THE COST OF CAPTIAL IMPROVEMENTS; PLEDGING
COLLECTIONS OF TWO 0.50% SALES AND USE TAXES TO PAY THE PRINCIPAL
OF AND INTEREST ON THE BONDS; PRESCRIBING OTHER MATTERS
RELATING THERETO; AND DECLARING AN EMERGENCY. The Clerk read the
Ordinance in part. Alderman Parker moved that the rules be suspended and the Ordinance be
placed on its second reading. The motion was seconded by Alderman Moore. The council
followed with a unanimous vote. The Clerk then read the Ordinance the second time.
Alderman Sagely moved that the rules be further suspended and the Ordinance placed on
the third and final reading. The motion was seconded by Alderman Ragsdale. The council
followed with a unanimous vote. The Clerk then read the Ordinance the third and final time.
The Mayor asked if there was any discussion. Shep Russell with Friday, Eldridge, and Clark
gave a brief breakdown of the ordinance. Kevin Faught with Stephens Co. said that the offering
went well this past Thursday, and the trustee will be Citizens Bank and Trust. The rates were in
the City's favor with an average rate of 2.11% at 9 years maturity. The bulk of the funds were
broken up into two offerings. The first offering was just under ten million in order to keep it
bank qualified. The second offering will come in January of 2013 and it will be about 1.75
million. The funds should go to the trustee (Citizen's Bank and Trust) in early October.
The Mayor then put the question, "Shall the Ordinance pass Motion was made by
Alderman Parker and seconded by Alderman Sagely to adopt the Ordinance. On the Clerk's
calling the roll, the following vote resulted: Ayes Alderman Parker, Moore, Ragsdale and
Sagely. The Mayor declared the motion carried as there were four (4) ayes and (0) nays. Four
(4) votes being necessary for passage.
Motion was made by Alderman Parker and seconded by Alderman Ragsdale, that the
emergency clause be adopted. On the Clerk's calling the roll, the following vote resulted: Ayes
Alderman Parker, Moore, Ragsdale and Sagely. Nays none.
The Mayor then declared the Ordinance passed and signed same in open Council, duly
attested by the City Clerk.
THE ORDINANCE WAS GIVEN THE NUMBER 16 -2012
ORDINANCE NUMBER 16 -2012 CONTINUED
ORDINANCE NO. _16 -2012_
AN ORDINANCE AUTHORIZING THE ISSUANCE OF SALES AND USE TAX BONDS, SERIES 2012
FOR THE PURPOSE OF FINANCING THE COST OF CAPITAL. IMPROVEMENTS: PLEDGING COLLECTIONS
OF TWO 0,50% SALES AND USE TAXES TO PAY THE PRINCIPAL OF AND INTEREST ON THE BONDS:
PRESCRIBING OTHER MATTERS RELATING THERETO; AND DECLARING AN EMERGENCY.
WHEREAS there was submitted to the qualified electors of the City of Van Buren, Arkansas (the "City the questions of
issuing, under Amendment No. 62 to the Constitution of the State of Arkansas (the "State and under Title 14, Chapter
164, Subchapter 3 of the Arkansas Code of 1987 Annotated. (the "Authorizing Legislation capital improvement
bonds;: which are described as follows: (a) bonds in the maximum principal amount of $2,900,000 to finance all or a'
portion of the costs of firefighting facilities and apparatus, including particularly, without imitation. a new fire station,
and any parking, equipment; furmshinas and utility improvements therefor (the "Flretighting Improvements (b) bonds
in the maximum principal amount of `54,400,000 to finance all or a portion of the costs of police facilities. including
particularly, without` limitation,` a: new police station and any and acquisition, parking equipment furnishings and
utility improvements therefor (the "Police Improvements (c) bonds in the maximum principal amount of 51,750,000
to finance all or a portion of the costs of park and recreational facilities and any and acquisition, parking, equipment,
lighting and utility improvements therefor the "Park and Recreational Improvements and (d) bonds in the maximum
principal amount of $2,650,000 to finance all or portion of the costs of a facility to be used primarily as a' senior:
center and associated safe shelter and any demolition. and acquisition, parking, equipment. furnishings and utility
improvements therefor (the "Senior Center Improvements'). lj
WHEREAS at the special election held July 10, 2012, a majority of the electors voting on the questions approved the
issuance of such bonds; and
WHEREAS, the City Council of .the City has determined to accomplish a portion of the Park and Recreational
Improvements; Firefighting Improvements, Police Improvements and Senior Center Improvements and to issue the
initial Series of capital improvement bonds in the aggregate principal amount of $9.870,000 designated as' City of Van
Buren; Arkansas Sales and Use Tax Bonds Series 2012" (the "Series 2012 Bonds and
WHEREAS the City er
has made arrangements for the sale of the Sies 2012 Bonds to Stephens Inc (the "Purchaser"),
die price of 59,870,696.70 prncipal amount plus net originallssu premium of premiu of $126.539.20 and less. underwriter's
discount of 5125,842.50); plus accrued interest (the: "Purchase Price ursuantto a Bond Purchase Agreement
between the Purchaser and the City(the"Agreement which has been presented to and is before this meeting; and
WHEREAS the Preliminary Official Statement, dated August 15, 2012, offering the Series 2012 Bonds for sale (the'..
Preliminary Off;aal Statement") has been presented to and is before this meeting; and
WHEREAS the Continuing Disclosure Agreement between the City and Citizens Bank 8, Trust Co; Van Buren,. .j
Arkanses,"as Dissemination Agent (the Disclosure Agreement providing for the ongoing disclosure obligations of
the City with respect to the Series 2012 Bonds, has been presented to and is before this meeting; and
WHEREAS, the principal amount of the Series 2012 Bonds plush net original issue premium 'are allocated` among
purposesjas hereinafterset forth in Section 22 hereof and $1,703,46080 in maximum principal amount of capital ,i
improvement bonds" approved at theJuly 10; 2012 special election for the Senior. Center Improvements, the Firefighting
Improvements the Police Improvements and. the Park and Recreational Improvements that are not being issued are.,;
hereinafter collectively. referred to as "Additional Parity Bonds," and the Series 2012 Bonds and the Additional Panty
Bonds are hereinafter referred to collectively as the "bonds
NOW THEREFORE BE IT ORDAINED by the City Council of the City of Van Buren, Arkansas
Series 8 offer tun tere t seat psrpe annthe Series Bonds tram the tt at the rm s a ndePrice for
Series 2012 n, r ance`n set .tor in the the rates il be, per r annum, maturing and hereby accepted and o the subject to the terms and e orm
hereafter 10his th i set fprth n d ntl and is 2012 Bonds ere arid ntl t the i r chas the form,
heb a u to this meeting c t t oexe and th te. the Series 2012 Bonds are nrbeh, to ehe Puurchaser r The y The Mayor in
herereby authonzed=ariddirected to execute and deliver m o
iver the Agree
ent on behalf if 0 of the City and to take all action jl
required on the part of the City to fulfill' Its obligations under the Agreement:';
iSectionit The Preliminary Official Statement is hereby approved and the previous use of the Preliminary Official
Statement by the Purchaser.in connection with the sale of the Series 2012 Bonds is hereby in all respects approved
and confirmed, and the Mayor be and he is hereby authorized and directed, for and on behalf of the City' to, execute'.
the'Prelimmary Official Statement and the final Official Statement in the narne of the Qty as set forth in the Agreement. s
Sect on 3. The Disclosure A in substantially the form submitted to this meeting, is approved and the Mayor
is hereby authorized' and directed to execute and deliver the Disclosure Agreement on behalf of the City.`The Mayor
and'cry Clerk are eachauthonzed and' to take all action r quired on the part of the City to fulfill the City's
obligations under the', Disclosure Agreement. Any legal fees and other administrative costs 'incurred by the City in I
connection with making the annual report pursuant to the Disclosure Agreement (except audit fees) shall be considered
administrative charges that may be payable from moneys in the Bond Fund.
y
Sect on Under the ih aSta an t the uonsiz gis laws of the State 1nc ay Amendment No: 62 to
the Constitution th tun of Stale te and the $00 g the Series are re hereby authorized e and ordered,
issued in the tot principal am f 9,870i L ount ,000, the proceeds of the sale ale of which ch are necessary tt pr
to o a portion
of the ng c r or fvemr entca tis eing iPg the Senior Center Improvements, the Park and Recreational l Improvements,
the c Fenti ed and nd the Police Improvements (collectively, the he "2012 Sri Bonds. em201s paying expenses
incidental dentel thereto, Impueto, funding a t nding deb[ service ce reservrve, and antl paying ng exxpensns es s of issui ng g the he Seeries 2012 B
The Senes 2012 Bonds shall bear interest at the rates and shall mature on October 1 in the amounts and in the years
as follows
(October 11 Amount Interest Rate
:2013 5370,000 1.000%
1,105.000 2.000
2015 1,130,000
2016 1,150,000 2.000
'2017 1,175,000 2.000
2018 1,200,000 2.000
2019 1,220,000 2.100
2020 1,245,000 2250
2021 1,275.000
The Series 2012 Bonds shall be issuable only as fully registered bonds without coupons in the denomination of 55,000
or any integral multiple thereof. Unless the City shall otherwise direct, the Series 2012 Bonds shall be numbered from
1 upward in order of issuance. Each Series 2012 Bond shall have a CUSP number but the failure of a CUSIP number
to appear on any Series 2012 Bond shall not affect its validity..
ORDINANCE NUMBER 16 -2012 CONTINUED
Each Series 2012 Bond shall be dated as of October 1, 2012. Interest on the Series 2012 Bonds shall be payable
on April 1, 2013, and semiannually thereafter on April 1 and October 1 of each year. Payment of each installment of
interest shall be made to the person in whose name the Series 2012 Bond is registered on the registration books of
the City maintained by Citizens Bank Trust Co., Van Buren, Arkansas, as Trustee and Paying Agent (the "Trustee
at the close of business on the fifteenth day of•the month (whether or not a business day) next preceding each interest
paymentdate,(the 'Record. Date irrespective of• any transfer or exchange of any such bond subsequent •to•such:
Record Date. and priorto such interest:payment date, by check or draft mailed by the Trustee to such owner at his
address on such registration books; provided, however, payment of interest shall be made by wire transfer if requested
by a registered owner of the Series 2012 Bonds in the aggregate principal amount of $1,000.000 or more. Principal of
the Series 2012 Bonds shalt be payable at the principal corporate trust office of the Trustee.
Each Series 2012 Bond shall bear interest from the payment date next preceding the date on which it is authenticated
unless it is authenticated on an interest payment date, in which event it shall bear interest from such date, or unless it
is authenticated poor to the. first interest.payment date, in which event it shall bear interest from October 1, 2012, or
unless it is authenticated during the period from the Record Date to the next interest payment date, in which case it
Shall bear interest from such interest payment date, or unless at the tirne of authentication thereof interest is in default
thereon, in which event it shall bear interest from the date to which interest has been paid.
Only Such Series 2012 Bonds as'shalr have endorsed thereon a Certificate of 'Authentication .substantially in the
form,set forth nn•Section.6 hereof (the -"Certificate") duly executed by the Trustee shall. be entitled to any right or,
benefit under.this Ordinance: No Series 2012 Bond shall be valid and obligatory for any purpose unless and until the
Certificate shall have been duly executed by the Trustee, and the Certificate of the Trustee upon any such Series 2012
Bond shall be conclusive' evidence that such bond has been authenticated and delivered under this Ordinance. The
Certificate on any Series 2012 Bond shall be deemed to have been executed if signed by an authorized officer of the
Trustee. but it shall not be necessary that the same officer sign the Certificate on all of the Series 2012 Bonds.
In case any bond shall become mutilated or be 'destroyed or lost, the City shall, if not then prohibited by law, cause
to be executed and, the Trustee may authenticate and deliver a new band of like date,' seried'maturity and tenor in
exchange and substitution for and upon cancellation of such mutilated bond, or in lieu of and in substitution for such
bend destroyed or Iost, the owner paying the reasonable expenses and charges of the City and Trustee in
connection therewith, and, in the case Of a bond destroyed or lost, his filing with the Trustee evidence satisfactory to it
that such bond was destroyed or lost, and of his ownership thereof, and furnishing the City and Trustee with indemnity
satisfactory to them. The Tmstee is hereby authorized to authenticate any such new bond. In the event any such bond
shat have matured` instead of issuing a new bond, the City may. pay the same without the surrender thereof. Upon
the issuance of,a new bond under this Section, the City may require the payment of a sum sufficient to cover any tax
or other governmental charge that may be imposed in relation thereto and any other expenses (including the fees and
expenses of the Trustee) connected therewith.
The City shall cause to be maintained books for the registration and for the transfer of the bonds as provided herein
and in the bonds: The. Trustee shall act as the bond registrar. Each bond is transferable by the registered owner
iheieof or by his attorney duly authorized in writing at the principal office of the Trustee. Upon such transfer a new fully
registered bond or bonds of the'same maturity, of authorized denomination or denominations, for the same aggregate
principal amount will be issued to the transferee in exchange therefor.
Bonds may be exchanged at thei principal corporate trust office of the Trustee for an equal aggregate principal
amount 01 bonds of any other authorized denomination or denominations: The City shall execute and the Trustee shall I
authenticate and deliver bonds'vfiich the registered owner making the exchange is entitled. to receive. The execution
by the Cityy of any bond:of any denomination shall constitute full and due authorization of such denomination and the
Trustee shall be thereby, authorized to authenticate and deliver such bond.
No charge shall be made to any owner of any bond for the privilege of transfer or exchange, but any owner of any
bond requesting any such'transfer or exchange shall pay any tax or other governmental charge required to be paid
with respect thereto. Except as otherwise provided in the immediately preceding sentence, the cost of preparing each
new bond upon each exchange or transfer and any other expenses •of the City or the Trustee incurred in connection
therewithshail be paid by the City.. Neither the Trustee nor the City shall be, required to transferor exchange any bonds
selected for redemption in whole or in part.
The person in whose name any bond shall be registered shall be deerned and regarded as the absolute owner thereof..
for all and payment of or on account'of the principal or premium, if an or interest on any bond shall be
made only to or upon the order of the registered owner thereof or his legal representatives but such registration may be
changed as hereinabove "provided. All such payments shell be.valid and effectual to satisfy and discharge the liability
upon such bond to the extent of the sum or sums so paid
In any case where the date of Maturity 'Of interest on or principal of the bonds or the date fixed for redemption of any
bonds shall be a Saturday, or. Sunday or shall be in the State a legal holiday or a day on which banking institutions are
authorized by taw to close(then payment of interest orprincipal. need not be made on such date but may be made
on the next succeeding business day with the same force and effect as if made on the date of maturity or the date
fixed for redemption and no interest shall accrue for the period after the date of maturity or date fixed for redemption.
Section 5'The Serves 2012 Bonds shall be registered initially in the name of Cede Co. as nominee for the Depository
.Trost Company (7DTC'- shall be considered to be the registered owner of the Series 2012 Bonds for all purposes
under. this Ordinance including, without limitation; payment by the City of principal of, redemption price, premium, if
any, and interest on the Series 2012'BOnds(and receipt of notices and exercise of rights of registered owners. There
shall be one certificated, typewritten Senes 2012 Bond each stated maturity date which shall be immobilized in the
custodyof,DTC with the beneficial owners having no right to receive the Series 2012 Bonds in the form of physical
securities certificates :DTG. and its participants shall be responsible for maintenance of records of the ownership
of beneficial interests in'the. Series 2012 Bonds by book -entry on'the system maintained and operated by DTC and
its participants, and transfers of ownership of beneficial Interests shall be made only by DTC and its participants.
by book -entry, the City, having•no responsibility therefor DTC is expected to•'maintain records of the positions of
participants in the Series 2012 Bonds, and the participants and persons acting through participants are expected to
maintain'rec'ords Of the purchasersbf beneficial interests in the Series 2012 Bonds. The Series 2012 Bonds as such
shall not be transferable or exchangeable' except transfer to another securities depository or to another nominee
of a securities depository, without further action by the City.
If any securities depository determines not to continue to act as a securities depository for the Series 2012 Bonds for
use ine book -entry system; the City may establish a securities depository/book -entry system relationship with another
securities depository. If the City does not or is unable to do so, or upon request of the owners of all outstanding Series
2012'Bonds, the City and the Trustee; after the Trustee has made provision for notification of the beneficial owners by
the then securities depository, shall permit withdrawal of the Series 2012 Bonds from the securities depository. and
authenticate and deliver Series 2012 Bond certificates in fully registered form (in denominations of 55,000 or integral
multiples thereof) to the assigns of the securities depository or its nominee, all at the cost and expense (including costs
of printing definitive Series 2012. Bonds) of the Gity or of the beneficial owners of the Series 2012 Bonds.
Prior to issuance of the Series 2012 Bonds, the City shall have executed and delivered to DTC a written agreement (the
"Representation Letter") setting forth (or incorporating therein by reference) certain undertakings and responsibilities
of the City With respect to the Series 2012 Bonds so tong as the Series 2012 Bonds or a portion thereof are registered
in the nameof.Gede 8 Co. (or a substitute nominee) and held by DTC. Notwithstanding such execution and delivery of
the Representation Letter, the terms thereof shall iiot in any way limit the provisions of this Section or in any other way
Impose upon the City any obligation whatsoever with respect to persons having interests in the Series 2012 Bonds
other than the registered owners, as shown on the registration books kept by the Trustee. The Trustee shall take all
action necessity 'for all representations of the City in the Representation Letter with respect to the Trustee to at all
times be complied with:
ORDINANCE NUMBER 16 -2012 CONTINUED
The authorized officers of the Trustee and the City shall do or perform such acts and execute all such certificates,
documents and other instruments as they or any of them deem necessary or advisable to facilitate the efficient use of a
securities depository for all or any portion of the Series 2012 Bonds; provided that neither the Trustee nor the City may
assume any obligations to such securities depository or beneficial owners of Series 2012 Bonds that are inconsistent
with their obligations to any registered owner under this Ordinance.
Section 6. The bonds shall be executed on behalf of the City by the manual or facsimile signatures of the Mayor and
City Clerk and shall have impressed or imprinted thereon the seal of the City. The Series 2012 Bonds and the Trustee's
Certificate shall be`in substantially. the following font and the Mayor and City Clerk are hereby expressly authorized
and directed to make'all recitals contained therein:
(Form of Series 2012 Bond)
REGISTERED REGISTERED
No.
UNITED STATES OF AMERICA
STATE OF ARKANSAS
COUNTY OF CRAWFORD
e'.:. .CITY OF VAN BUREN
SALES AND USE TAX BOND
SERIES 2012
Interest Rate Maturity Date: October 1
Dated Date: October 1, 2012 CUSIP No.:
Registered Owner: Cede &Co.
Principal Amount
KNOW ALL MEN BY THESE PRESENTS:
That the City of Van Buren, County of Crawford, State of Arkansas (the "City"), for value received, hereby promises to
pay to the Registered Owner shown above upon the presentation and surrender hereof at the principal corporate trust
office of Citizens Bank &Trust Co:. Van Buren, Arkansas, or its successor or successors. as Trustee and Paying Agent
(the "Trustee'), ob the Maturity Date shown above, the Principal Amount shown above, in such coin or currency of the
United States of America as at the time of payment shall be legal tender for the payment of public and private debts
and to pay by check or draft to the Registered Owner shown above interest thereon, in like coin or currency from the al
interest commencement date described below at the Interest Rate per annum shown above. payable on each April 1
and October 1 after the Dated Date shown above, until payment of such Principal Amount or, if this bond or a portion
hereof shall be duly called for redemption, until the date fixed for redemption, and to pay interest on overdue principal
and interest (to the extent legally enforceable) at the rate borne by this bond. Payment of each installment of interest
shall be made to the person in whose name this bond is registered on the registration books of the City. maintained by
the Trustee' at the close of business on the fifteenth day al the month (whether or not a business day) next preceding.;
such R d payment prior (toe "ch In t o Date"), irrespective of wit transfer exchange of. this bond subsequent to
ma D sues e d b the Registered y e date. Notwithstanding r the above. of
payment of interest st shall hall 11
made wire t aser wh requested when requested;y, the Registered Owner. hereof eof it t if it is the registered owner of bonds this
de ecwi
issue in the aggregate principal amount of $1, 000, 000 or more.
Unless this bond is presented by an authorized representative of. The Depository Trust Company, a New York t
corporation DTC'); to the Trustee for registration of transfer exchange on payment and any certificate issued is
the name or Cede Co..or in such other name as is requested by an authorized representative of DTC 1
(and any. payment is made to Cade Co. or to such other entity as is required by an authorized representative of
DTC), ANYTRANSFER:PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS'!
WRONGFUL inasmuch as the registered owner hereof. Cede Co., has an interest herein.
This shall bear interest from the payment date next preceding the date on which it is authenticated unless 1
it is authenticated on an' interest •payment date in which event it shall bear interest from such date, or unless a
authenticated during the rperiod from the Record' Date. to the next interest payment date,; in which case it shall bear sj
interestfrom such interest payment date, or unless it i5 authenticated prior to the first interest payment date; in which';;
event it shall bear Interest from the Dated Date shown above, or unless at the time of authentication hereof interest is ,'1
in default hereon in which •event it Shall bear interest from the date to which interest has been paid
This bond is one issue of Crt of Buren Arkansas Sales and Use Tax Bonds, aggregating ih
Mdhon,Eight Hundd red ed Seventy Tou
hsand.Dollar ($9;870000) ggregate principal amount t (th (the :'bonds') ;and d iss
ssu
ied the purpose of financing the costs of m a amount
ccom ng n t s center improvements; park and. recreational
improvements :firefighting improvements and poli ce improverovements p paying necessary expenses incidental thereto 't
funding`a debt service reserve,' and paying expenses of' authorizing and issuing the bonds
The bands are issued pursuant to and in fut compliance with the Constitution and laws of the State of Arkansas (the- i
State) particularly' Amendment No 62 to the Constitution of the State and Title 14, Chapter 164, Subchapter 3 of the a
Arkansas Code of 1987 Annotated (the "Authorizing Legislation'), and pursuant to Ordinance No. of the City
duly adopted on August 27; 2012 (the "Authorizing Ordinance'), and an election duly held on July 10, 2012 at which
the majority of the legal voters of the City, voting on the questions approved the issuance of the bonds. Reference is
hereby made to the Authorizing Ordinance far the details of the nature and extent of the security and of the rights and
obligations of the City, ,the Trustee and the registered owners of the bonds. The bonds are special obligations of the
City.payable.from the collections that are received by the City (the 'Pledged Revenues'). from a 0.50 %sales and use
tax (the "Bond Tax') levied bythe.City under the Authorizing Legislation and Ordinance No. 8 -2012 of the City duly
adopted. on April 16; 2012; and a 0.50% sales and use tax levied by the City under Title 26, Chapter 75.Subchapter
2 bf.the Arkansas Code Annotated and Ordinance No. 6 -2012 of the City duly adopted on April 16, 2012 _j
The City hereby pledges the Pledged Revenues for the payment of this bond. The City has reserved the right In the
Authorizing Ordinance to issue additional bonds under the Authorizing Ordinance on a parity of security with the bonds','
("Additional Parity Bonds
The bonds are subject to extraordinary and optional redemption as follows:
I
(1)The bonds shall be redeemed by the City from proceeds of the bonds not needed for the intended purposes and
Surplus Bond Tax Collections (defined below), in whole at any time or in part on any interest payment date, at a
redemption price equal to the principal amount being redeemed plus accrued interest to the redemption date.
The City has covenanted in the'Authorizing Ordinance that "Surplus Bond Tax Collections being collections from
Bond Tax n excess of the amount necessary to (1) insure the prompt payment of the principal of, interest on and
and administrative fees and expenses in connection with the bonds and the Additional Parity Bonds as the
become due, (2) establish and maintain the Debt Service Reserve Account in the required amount, and (3) make
,same
any arbitrage rebate payment due the United States, must be used from time to time, at least annually. as and to the
extent available, to redeem outstanding bonds prior to maturity.
If there are no Additional
Parity Bonds outstanding, the City shall apply 100% of the Surplus Bond Tax Collections to
the redemption`of the` bonds. If there are Additional Parity Bonds outstanding, the City shall use 85% of the Surplus
Bond Tax Collections to redeem the bonds and 15% of the Surplus Bond Tax Collections to redeem the Additional
Parity Bonds: In the event of a redemption from Surplus Bond Tax Collections or trout bond proceeds, the bonds shall
be redeemed in inverse order of maturity and by lot within a maturity in such manner as the Trustee shall determine.
OR1)IiNANCE NUMBER 16 -2012 CONTINUED
In the case of any defeasance of the bonds. redemption of defeased bonds shall be scheduled on the basis of
the mandatory redemption requirements and assuming annual Pledged Revenues in an amount equal to Pledged
Revenues for a twelve -month period that ends not less than 30 and not more than 90 days prior to the defeasance.
(2)The bonds are subject to redemption at the option of the City, from funds from any source. on and after April 1, 2018,
in whole at any time or in part on any interest payment date, at a redemption price equal to the principal amount being
redeemed plus accrued interest to the redemption date. If fewer than all of the bonds shall be called for redemption,
the particular maturities of the bonds to be redeemed shall be selected by the City in its discretion. If fewer than all of
the bonds of any one maturity shall be called for redemption, the particular bonds or portion thereof to be redeemed
from such maturity shall be selected by lot by the Trustee.
In case any outstanding bond is in a denomination greater than S5,000, each 35,000 of face value of such bond shall
be treated as a separate bond of the denomination of 55,000.
Notice iohredemption- identifying the bonds or portions thereof (which shall 'lbe$5 000 or a multiple, thereof) to be
redeemed'antl the date.they shall be presented for payment.shail be given bythe Trustee; not less than 30.nor more
than 60 'days prior to the date fixed for redemption by mailing e copy of the redemption notice by: first class mail,
postage. prepaid, or by other standard means, including facsimile transmission and electronic communication, to, all
registered owners of honds to be redeemed, Failure to mail an appropriate notice or any such notice to one or more 5
registered owners of bonds to be redeemed shall not affect the validity of the proceedings for redemption of other
hands as to which notice of redemption is duly given in proper and timely fashion. All such bonds or portions thereof
thus called for redemption and for the retirement of which funds are duly provided in accordance with the Authorizing
Ordinande,prior to the date fixed for redemption will cease to bear interest on such redemption date.
This bond is transferable by the Registered Owner shown above in person or by his attorney -i'n -fact duly authorized
in writing at the principal corporate trust office of the Trustee, but only in the manner, subject to the limitations and
upon payment of.the chargesprovided in the Authorizing,Ordinance, and upon surrender and cancellation of this
bondiUpon such transfer anew fully registered bond or honds of the same maturity of authorized denomination or
denominations�:for the same aggregate principal amount. will be issued to the transferee in exchange therefor. This.
bond is issued -with the intent that the laws of the State shall govern its'construction.
The City and the Trustee may deem and treat the Registered Owner shown above as the absolute owner hereof for the
purpose of receiving payment of or on account of principal hereof and interest due hereon and for all other purposes,
and neither the City nor the Trustee shall be affected by any notice to the contrary.
The are issuahie only as fully registered bonds in the denomination of 35,000 and any integral multiple thereof.
Subjectto the limitations and upon payment of the charges provided in the Authorizing Ordinance, fully registered
bonds maybe exchanged for a like aggregate principal amount of fully registered bonds of the same maturity of other'.,
authorized denominations.
IT IS HEREBY CERTIFIED, RECITED AND DECLARED that all acts, conditions and things required to exist. happen
and be performed, under the Constitution and laws of the State, particularly Amendment No. 62 to the Constitution of
the State and the Authorizing Legislation, precedent to and in the issuance of this bond have existed, have happened
And'have been performed in due time, form and manner as required by law; that the indebtedness represented by this
bond'and the issue of which it forms a part does not exceed any constitutional or statutory limitation; and that taxes
sufficient to pay the bonds and interest thereon have been duly levied under the laws of the State and receipts derived
therefrom are pledged to the payment of the bonds in accordance with the Authorizing Legislation.
This bondshall not be valid until it shall have been authenticated by the Certificate hereon duly signed by the Trustee.
THE BONDS ARE HEREBY DESIGNATED AS QUALIFIED TAX- EXEMPT OBLIGATIONS WITHIN THE MEANING OF
SECTION 265(B) OF THE INTERNAL REVENUE CODE OF 1986, AS AMENDED.
IN WITNESS. WHEREOF the City of Van Buren, Arkansas has caused this bond to be executed by its Mayor and City
Clerk and its corporate seal to be impressed or imprinted on this bond, all as of the Dated Date shown above.
CITY OF VAN BUREN, ARKANSAS
ATTEST
By -i
Mayor
City Clerk t 1
(SEAL)
TRUSTEE'S CERTIFICATE OF AUTHENTICATION
This bond is one of Ida bonds issued under the provisions of the within mentioned Authorizing Ordinance
Date of Authentication:
CITIZENS BANK TRUST CO.
Van Buren, Arkansas
TRUSTEE
Authorized Signature
(A Form of Assignment shall be attached to the bonds)
Section 7. The City hereby expressly pledges and appropriates all of the revenues derived by the City from (a) a 0.50%
.sales and use tax levied by the City under the authority of Title 26. Chapter 75. Subchapter 2 of the Arkansas Code of
1987 Annotated and Ordinance No. 6 -2012 adopted on April -16, 2012 (the "Multipurpose Tax and (b) a 0.50% sales
and use tax levied by the City under the Authorizing Legislation and Ordinance No. 8 -2012 adopted on April 16, 2012
(the "Bond Tax to the payment of the principal of and interest on the bonds when due at maturity or at redemption
prior to maturity and the fees and expenses of the Trustee and other administrative charges, and any arbitrage rebate •1
due the United States under Section 148(0 of the Internal Revenue Code of 1986, as amended (the "Code"). Collections
of the Bond Tax are hereby appropriated and shall be used solely to pay the scheduled principal of and interest on
the bonds, redeem bonds prior to. maturity, and pay the fees and expenses of the Trustee and other administrative
charges and any arbitrage rebate due. Collections of the Multipurpose Tax shall be used first, 0 necessary, to pay the
`scheduled'principal of and interest on the bonds when due or upon mandatory sinking fund redemption and to pay
the fees-and expenses of the Trustee and other administrative charges and any arbitrage rebate due and second, (a)
to 'pay obligationswith respect to. other bonds approved by the voters and issued from time to time by the City for'
capital improvements, (b) for fire. police or other emergency service purposes, (c) for park and recreational purposes,
(d) for economic development purposes and (e) for other purposes approved by the voters (the "Multipurpose Tax
Uses The City covenants that the Bond Tax and the Multipurpose Tax (collectively, the "Taxes shall not be repealed
or.reduced while any of the bonds are outstanding. The City further covenants to use due diligence in collecting the
Taxes: Nothing herein shall prohibit the City from increasing the Taxes from time to time, to the extent permitted by i
law, and no part of the revenues derived from any such increase shall become part of the revenues pledged hereunder.
ORDINANCE NUMBER 16 -2012 CONTINUED
Begtjon 8. (a) The City hereby designates Citizens Bank Trust Co.; Van Buren, Arkansas as the bank which shall
receive collections of the Taxes from the State Treasurer and the City covenants to file a written designation thereof
with the State Treasurer prior to the issuance of the Series 2012 Bonds. The Trustee shall deposit all Pledged Revenues
as and when received into a special fund of the City in the Trustee which is hereby created and designated "Sales and
Use Tax Revenue Fund". (the "Revenue Fund`): There is created in the Revenue Fund the following accounts: Bond
Account and Multipurpose Account, Pledged Revenues received by the Trustee shall he deposited as follows: Pledged
Revenues derived from the Bond Tax shall be deposited into the Bond Account and Pledged Revenues derived from
the Multipurpose Tax shall be deposited into the Multipurpose Account.
(b)Moneys in the Bond Account shall be applied first each month in the following order of priority:
(1)1/6 of the interest on the bonds next due Debt Service Account in the Bond Fund (hereinafter identified); and
(2)1/12 of the principal of the bonds next due maturity or upon mandatory sinking fund redemption Debt Service
Account in the Band Fund; and
(3)the Trustees fees and expenses and other administrative charges next due Expense Account in the Bond Fund;
'and
(4)the amount which maybe necessary to increase the Debt Service. Reserve Account to the Required Level (as
hereinafter defined) Debt Service Reserve Account in the Bond Fund; and
(5)theamount necessary to pay any arbitrage rebate flue under Section '1 48(0 of the Code Expense Account In the
Bond Fund; arid
(6) balance the Redemption Account in the Bond Fund
The deposits made into the Debt Service Account in the Bond Fund shall be reduced in order to take into account
as a credit (1) interest' earnings; (2) accrued Interest deposited therein from bond proceeds and (3) transfers from the
Debt Sen.•ice Reserve Account. The deposits made into the Debt Service Account shall be increased as needed so
that approximately level.payments are made in order to make the first two debt service payments on each series of
the bonds.'_'
Moneys iri the Multipurpose Account shall be applied by the Trustee.within five (5) days of receipt by the Trustee in the
followingorder of priority; a:
(1)in the event moneys in the Bond Account are insufficient to make the deposits required by clauses (1) through (5)
above, moneys in the Multipurpose Account shall be used for such purpose in the order of priority listed above; and
(2)the balance shall be transferre'dto the City for Multipurpose Tax Uses,
Section 9. (a) There is hereby created a special fund of the City in the Trustee which is designated "Sales and Use Tax
Bond Fund". (the "Bond Fund for the purpose of providing funds for the payment of principal of and interest on the
bonds as they become due at maturity or at redemption prior to maturity. the Trustee's fees and expenses and other
administrative charges, and any arbitrage rebate due the United States under Section,148(f) of the Code. There shall
be established in the Bond Fund the following accounts into which money from the Revenue Fund shall be deposited
monthly: (i) Debt Service Accounp (ii) Expense Account; and (iii) Redemption Account. Moneys in the following Bond
Fund accounts shall he used on each interest payment date (or in the case a rebate payment under clause (4) on
any date due) in the following order of priority as and when necessary:
(1) to pay the interest on the bonds then due Debt Service Account; and
(2),to pay the principal of,the bonds then due at maturity or upon mandatory sinking fund redemption Debt Service
Account; and
(3) to pay.the Trusteets fees andexpenses and other administrative charges then due Expense Account; and
(4) to pay the amount e hr h is payable as arbitrage rebate to the United States Treasury under Section 148(1 of the
Code Expen e'Account; and
(s) to redeem bonds poor to maturity according to the redemption provisions of the bonds- Redemption Account.
I The Bond Fund (excluding. those moneys in the Debt Service Reserve Account and the Redemption Account) shall,
exceptas prcvrded ihrthis be depleted once a year except for_ a carryover amount not to exceed the greater
of :))one years earns rgs' on thejBond Fund or (ii),1/12 of the debt service on the bonds. Any moneys in the Bond
Fund shall, except as provided in this Section, be spent for one of the above purposes within a thirteen -month period
begin'ning;an the date of deposit, and any amount received from investment of money held in the Bond Fund will be
spe within a one -year period beginning on the date of receipt.
(b) There shall be established and maintained in the Bond Fund a Debt Service Reserve Account in an amount equal
i to lesser of (i) the maximum'arinual debt service requirements on the bonds, (ii) 10°% of the lesser of (A) the original
proceeds of the bonds in the event there is net original issue discount and (B) the principal amount of the bonds and r
125 %'of the'ave'rage annual debt service requirementsian the bonds (the "Required Level'). The City shall fund
the Debt Service Reserve Account at the times the bonds are issued. Moneys in the Debt Service Reserve Account
shall ne uaed to make principal and interest payments on the bonds when' due if moneys in the Bond Fund are not
otlien' ise sufficient for that purpose: Moneys in the Debt Service Reserve Account over and above the Required Level
'T snail immediately transferred from the Debt Service Reserve Account into the Redemption Account in the Bond
es Fund -The Trustee shalt `calculate the Required Level for the Debt Service Reserve Account each time the Trustee is
determining twhether to redeem the bonds front Surplus Bond Tax Collections (hereinafter defined) and shall use any
surplus to redeem the-bonds'-
(c) When the moneys in the Bond Fund, including the Debt Service Reserve Account and the Redemption Account,
shall be and remain sufficient to pay (1) the principal of all the bonds then outstanding, (2) interest on the bonds until
"the_next'interest payment date, (3) the Trustee's fees and expenses and other administrative charges, and (4) any
arbitrage rebate due to the United States under Section 148(f) of the Code, there shall be no obligation to make any
further payments Into the Bond Fund and any Pledged Revenues remaining in the Bond Fund after the principal of
premium, if any and interest on the bonds and the other obligations set forth herein have been paid may be used by
the City for any lawful purpose.
(d) All moneys in the Bond Fund shall be used solely for the purpose of paying the principal of and interest on the
bonds, Trustee's fees and expenses and other administrative charges, and any arbitrage rebate due to the United
States under Section 148(1 of the Code as the same become due.
(e)There shall be deposited into the Redemption Account all transfers Pam the Bond Account in the Revenue Fund
remaining after making the applications required by clauses (1) through (4) of subsection (a) above "Surplus Bond Tax
Collections and bond proceeds transferred to the Redemption Account pursuant to Section 16 of this Ordinance.
The City covenants that moneys in the Redemption Account shall be used on the next available interest payment date,
or. in the case of the redemption in full of the bonds, on the redemption date, for the purpose of redeeming bonds in
accordance with clause (5) of subsection (a) above.
(f) The Trustee is authorized and directed to withdraw moneys from the Bond Fund from time to time as necessary for
paying principal of and interest on the bonds when due at maturity or at redemption prior to maturity and for making
other authorized Bond fund expenditures.
ORDINANCE NUMBER 16 -2012 CONTINUED
(g) The bonds shall be specifically secured by a pledge of the Pledged Revenues, which pledge in favor of the bonds is
hereby irrevocably made according to the terms of this Ordinance, and the City. and the officers and employees of the
City, shall execute, perform and carry out the terms thereof in strict conformity with the provisions of this Ordinance.
(h)Anything herein to the contrary notwithstanding, moneys in the Redemption Account and interest earnings thereon
(1) shall be used from time to time to make up shortfalls in the Bond Fund, rather than redeeming bonds prior to
maturity. and (2) shall not be used to redeem bonds more often than annually (rather than on each interest payment
date) if the Trustee reasonably determines that such amounts available for redemption may be needed to make
scheduled,debt service payments.
Section 10. Any bond shall be deemed to be paid within the meaning of this Ordinance when payment of the principal
of and interest On' such bond (whether at maturity or upon redemption as provided herein or otherwise), (i)
shall have been made or caused to be made in accordance with the terms thereof, or (ii) shall have been provided
for by irrevocably depositing with the Trustee, in trust and irrevocably set aside exclusively for such payment (1) cash
sufficient to make such payment and /or (2) non callable Government Securities (as defined in Section 17 hereof)
(provided that such deposit will not cause any of the bonds to be classified as "arbitrage bonds" within the meaning
of Section 148 of the Code), maturing as to principal and interest in such amounts and at such times as will provide
sufficient moneys_to make such payment, and all necessary and proper fees, compensation and expenses of the
Trustee with respect to which such deposit is made shall have been paid or the payment thereof provided for to the
satisfaction of the Trustee.
On the payment of any bonds within the meaning of this Ordinance. the Trustee shall hold in trust, for the benefit of the
owners of such bonds, all such moneys and /or Government Securities. When all the bonds shall have been paid within the meaning of this Ordinance. if the Trustee has been paid its tees and
expenses. and Wan)/ required arbitrage rebate payment has been made to the United States under Section 148(f) of i
the .Code or provision made therefor..the Trustee shall take all appropriate action to cause (i) :the pledge and hen of this :1
Ordinance to be'dlscherged and cancelled,=and (ii)'all mdneys held by pursuant- tolllis Ordinance and rhich•a're •not`
required for the payment of such bonds to be paid over-or delivered•to or at the direction of the City.
Sectio 11. The City covenants that it will not issue any additional bonds, or Incur any additional obligations, secured
by.a lien on or, pledge of the Pledged Revenues prior to the lien and pledge in favor of the outstanding bonds. The
City further covenants that it will not issue additional bonds, or incur additional obligations, secured by a lien on or
pledge of the Pledged Revenues on a parity with the outstanding bonds, except as hereinafter authorized. Additional
Parity Bonds may he issued so long as the City has received collections from the Taxes, or a 1% local sales and use
tax levied by the City, for a 12 month period that ends not less than 30 and not more than 90 days prior to the date
that the Additional Parity Bonds are authorized by the City Council of the City to be Issued; in an amount equal to
or in excess of 125 %bf the maximum annual debt service requirement for the Series 2012 Bonds, any outstanding
Additional Parity Bonds and the Additional Parity Bonds proposed to be issued. Notwithstanding the above, nothing
herein shall be construed to prohibit the City from refunding any bonds and pledging the f Iedged,Revenues to the
refunding bonds on a parity with the non refunded bonds and such refunding bonds shall be a part of the Additional
Parity Bonds hereunder
'The City may issue additional bonds, or incur additional obligations, secured by a lien on or pledge of the Pledged
Revenues that consist of collections of the Multipurpose Tax, expressly subordinate to the lien and pledge in favor of
the bonds.
Section 12. The Series 2012 Bonds shall be callable for payment prior to maturity in accordance with the terms set
out in the face of the bond form set forth in Section 6 of this Ordinance. The City hereby covenants to use Series 2012
Bond proceeds not necessary for the purposes intended to redeem Series 2012 Bonds on the first available interest
payment date. The City hereby covenants to use Surplus Bond Tax Collections to redeem the bonds in accordance
with this Ordinance and the terms of the bonds.
Section 13v It is hereby covenanted and agreed by the City with the owners of the bonds that the City will faithfully and
punctually.perform all duties with reference to the Taxes and the bonds required by the Constitution and laws of the
State and by this Ordinance, including the collection of the Pledged Revenues, as herein specified and covenanted,
and.the applying of the Pledged Revenues as herein provided.
Section X 14 The Trustee will keep or cause to be kept proper books of accounts and records in which complete and
correct entries shall be made of all transactions relating to the Pledged Revenues and such books shall be available
_for. inspection by the City, the Purchaser, and the owner of any of the bands at reasonable times and under reasonable
circumstances.,The Trustee shall furnish a report to the City on a rnontdlt basis of all receipts and disbursements of
the.Pledged Revenues received by the Trustee, which monthly report shall commence one month following the first
month in which ins Pledged Revenues are received'6y the Trustee
Section 15 (a) I1 there be any default in the payment of the principal of and interest on any of the bonds, or if the City,a,
defaults -in the perfoddance of any covenant contained in this Ordinance, the Trustee nmay,.and shall, upon the written
request of the o(vners of not less than 25% in principal amount of the bonds then outstanding, by proper suit compel
the'pedormance of the duties of the officials of the City under the Constitution and laws of the State and under this
Ordinance and to take any action or obtain any proper relief in law or equity available under the Constitution and laws
of the State
(b) No owner of any bond shall have any right to institute any suit, action. mandamus or other proceeding in equity or
in law for the protection or enforcement of any 'right under this Ordinance or under the Constitution and laws of the ,j
State unless such owner previously shall have given to the Trustee written notice of the default on account of which 1
such suit, action or proceeding is to be taken, and unless the owners of not less than 25% in principal amount of the
bonds then outstanding shall have madewrittenrequest of the Trustee after the right to exercise such powers or right
of action, as the'ces'e may be. shalt have accrued, and shall have afforded the Trustee a reasonable opportunity either
to proceed to'ezercise the powers herein granted or granted by the Constitution and laws of the State, or to institute
such action. suit or proceeding in its name; and unless, also. there shall have been offered to the Trustee reasonable 1
security and Indemnity against the cost, expense and liabilities to be incurred therein or thereby and the Trustee shall
fiave refused or neglected to comply with such request within a reasonable time, and such notification, request and, f
offer of indemnify are hereby declared in every such case, at the option of the Trustee, to be conditions precedent j
to the execution of the powers and trust of this Ordinance or to any other remedy hereunder. It is understood and .I
intended that no one or more owners of the bonds shall have any right in any manner whatever by his or their action to
affect, disturb or prejudice the security of this Ordinance, or to enforce any right hereunder except in the manner herein
provided, that all proceedings at taw or in equity shall be instituted, had and maintained in the manner herein provided
and for the benefit of all owners of the outstanding bonds, and that any individual rights of action or other right given
to one or more of such owners by law are restricted by this Ordinance to the rights and remedies herein provided.
(c) All rights of action under this Ordinance or under any of the bonds, enforceable by the Trustee. may be enforced by
it without the possession of any of the bonds, and any such suit, action or proceeding instituted by the Trustee shat
be brought in its name and for the benefit of all the owners of the bonds, subject to the provisions of this Ordinance.
(d) No remedy herein conferred upon or reserved to the Trustee or to the owners of the bonds is intended to be
exclusive of any other remedy or remedies herein provided, and each and every such remedy shall be cumulative and 1
shall be in addition to every other remedy given hereunder or given by any law or by the Constitution of the State.
(e) No delay or omission of the Trustee or of any owners of the bonds to exercise any right or power accrued upon
any default shall impair any such right or power or shall be construed to be a waiver of any such default or' an
ORDTiNANCE NUMBER 16 -2012 CONTINUED
acquiescence therein, and every power and remedy given by this Ordinance to the Trustee and to the owners of the
bonds, respectively, may be exercised from time to time and as often as may be deemed expedient.
(f{ The Trustee may, and upon the written request of the owners of not less than a majority of the owners in principal
amount of the bonds then outstanding shall, waive any default which shall have been remedied before the entry of final
judgment or decree in any suit. action or proceeding instituted under the provisions of this Ordinance or before the
completion of the enforcement of any other remedy, but no such waiver shall extend to or affect any ether existing or
any subsequent default or defaults or impair any rights or remedies consequent thereon.
Section 16. When the Series 2012 Bonds have been executed and sealed as herein provided :they shall be delivered
to the Trustee, which shall authenticate them and deliver them to the Purchaser upon payment of the Purchase Price.
The accrued interest shall be deposited in the Bond Fund. The expenses of issuing the Series 2012 Bonds as set forth
in the delivery instructions to the Trustee signed by the Mayor and City Clerk (the 'Delivery Instructions') shall be paid
from the Purchase Price. The amount necessary to be deposited into the Debt Service Reserve Account as set forth in
the Deliver• Instructions shall be deposited therein.
The balance of the Purchase Price shall be deposited in four (4) special accounts of the City in the Trustee hereby
created and designated "2012 Center Improvement Fund', Park and Rec Improvement Fund
"2012 Firefighting Improvement Fund" and the "2012 Police Improvement Fund Moneys initially credited to the 2012
Senior Center Improvement Fund. 2012 Park and Recreational Improvement Fund, 2012 Firefighting Improvement
Fund and 2012 Police Improvement Fund (collectively. the "2012 Construction Fund shall be allocated among the
various funds comprising the 2012 Construction Fund in proportion to the principal amount of Series 2012 Bonds
allocated for each purpose. The amounts credited to each fund comprising the 2012 Construction Fund shall be
expended to accomplish the purpose for which the account was created. Issuance costs and other expenses not
specific to any one purpose shall be joint obligations to be paid from each fund comprising the 2012 Construction
Fund in proportion to the initial moneys credited thereto. Disbursements shall be made from the 2012 Construction
Fund on the basis of requisitions which shall specify: the name of the person, firm or corporation to whom payment
is to be made; the amount of the payment; the purpose of the payment; the account from which the payment is to be
made; and that the payment is a proper charge on that account. Each requisition must be signed by the Mayor and
City Treasurer. The Trustee shall issue its check upon the applicable fund that is a par, of the 2012 Construction Fund
to the person: firm or corporation designated in the requisition. The Trustee shall keep records as to all payments made
from the 2012 Construction Fund.
Moneys in the 2012 Construction Fund shall also be used to pay the principal of and interest on the Series 2012 Bonds
when due on a pro rata basis If moneys in the Bond Fund are not sufficient for that purpose.
When all required expenses have been paid and expenditures made frorn the 2012 Construction Fund for and in
connection with the accomplishment of the 2012 Improvements and the financing thereof, this fact shall, if moneys
remain in the 2012 Construction Fund, be evidenced by a certificate signed by the Mayor. which certificate shall state,
among other things, that all obligations payable from the 2012 Construction Fund have been discharged. A copy of
the certificate shall be tiled with the Trustee, and upon receipt thereof the Trustee shall transfer any remaining balance
to the Bond Fund tor purposes of redeeming the Series 2012 Bonds.
Section 17. (a) Moneys held for the credit of the 2012 Construction Fund shall be invested and reinvested in Permitted
Investments (hereinafter defined) or other investments permitted by Arkansas law which shall stature. or which shall
be subject to redemption by the holder thereof, at the option of such holder, not later than the date or dates when such
money will, be required for the purposes intended.
(b) Moneys held for the credit of the Debt Service Reserve Account shall be invested and reinvested in .Permitted
Investments, which shall mature; or which shall be subject to redemption by the holder thereof, at the option of
such holder,,not later than five years from the date of the investment or the final maturity date of the bonds that are.
outstanding on the date of the investment, whichever is earlier.
(c) Moneys held for the credit of the Bond Fund (other than the Debt Service Reserve Account) and the Revenue Fund
shall be invested and reinvested in Permitted Investments, which will mature, or which will be subject -to redemption
by.the holder thereof at the option of the holder, not later than the date or dates on which the money shall be required
for the payment Of the principal of and interest on the bonds when due.
(d) Obligations purchased as are investment of any fund or account shall be deemed at all times a'part 'of earth fund.
Any profit or loss realized on investments of moneys in any fund shall be charged to said fund.
(e).The Trustee shall so invest and reinvest pursuant to the direction of the City and in the Trustees discretion in the
ab of any direct instructions from the City:
(f). •Perrnitted Investments" are defined as (i) direct or fully guaranteed obligations of the United States of America
"Government'Securities (ii) direct obligations of an agency; instrumentality or government- sponsored enterprise•
created by an act of the United States Congress and authorized to issue securities or evidences of indebtedness,
'regardless of Whether the securities or evidences of indebtedness are guaranteed for repayment by the United States
Government, (iii) certificates of deposit or demand deposits of banks; including the Trustee; which a insured by 1
Federal Deposit Insurance Corporation or, if in excess of insurance coverage, collateralized by Government Securities
or other securities authorized by Arkansas law to secure public funds or (iv) money market funds invested exclusively in Government Securities and the obligations described in (ii) above.
Section 18 Citizens Bank Trust Co., Van Buren, Arkansas is 'hereby appointed to act as Trustee and Paying Agent
pursuant tothis Ordinance. The Trustee shall be responsible for the exercise of good faith and reasonable prudence
in the execution of its trusts. The recitals in this Ordinance and in the bonds' are the recitals of the City and not of the
Trustee. The Trustee shall not be required to take any action as Trustee unless it shall have been requested to do so in
writing by the owners of not less than 25% in principal amount of bonds then outstanding and shall have been offered
reasonable security and indemnity against the costs, expenses and liabilities to be incurred therein or thereby. The
Trustee may resign by giving 50 days' notice in writing to the City Clerk and the owners of the bonds, and either the
City, so long as it is not in default hereunder, or the majority in principal amount of the owners of the outstanding bonds
at any time; with or without cause, may remove the Trustee. In the event of a vacancy in the office of Trustee either
by resignation or removal, the City shall forthwith designate a new•Trustee by a written instrument filed In the office
of the City Clerk, The new Trustee shall be a bank or a trust company in good standing, duly authorized to exercise
trust powers and subject to examination by federal or state authority, having a reported capital and surplus of not less
than $50,000,000. The preceding criteria may be met by a parent corporation if the parent corporation has guaranteed
the obligations of the successor trustee. The Trustee and any successor Trustee shall file a written acceptance and
agreement to execute the trusts imposed upon it by this Ordinance, but only upon the terms and conditions set forth
in this Ordinance and subject to the provisions of this Ordinance, to all of which the respective owners of the bonds
agree. Such written acceptance shall be filed with the City Clerk and a copy thereof shall be placed in the bond
transcript. Any successor Trustee shall have all the powers herein granted to the original Trustee. Notwithstanding
the above, no removal. resignation or termination of the Trustee shalt take effect until a successor shall be appointed.
Section 1 B. (a) The terms of this Ordinance shall constitute a contract between the City and the owners of the bonds
and no variation or change in the undertaking herein set forth shall be made while any of the bonds are outstanding,
except as hereinafter set forth in subsections (b) and (c).
(b) The Trustee may consent to any variation or change in this Ordinance that the Trustee determines is not to the
material prejudice of the owners of the bonds. in order to cure any ambiguity, defect or omission in this Ordinance or
any amendment hereto or in connection with the issuance of the Additional Parity Bonds, without the consent of the
owners of the bonds.
O R DI NANCE NU R 1.6 -2012 CONTINUED
(c) The owners of not less than 75% in aggregate principal amount of the bonds then outstanding shall have the right,
from -time to time, anything contained in this Ordinance to the contrar notwithstanding to consent to and :approve
theaadoption by, t 1e City such ordinance'supplemental hereto as .beeiecess ry 0I :desirable for he-purpose kil
of§'nddlh'irtg alt erinq;'8me ding,reddi;ig to; or rescinding :in any .pa4i ular -any of the terms•or prhv signs containedr'j
in this m
Ordinance or in' supplemental ordinance; provided. however that niothing doff tained In this Section s call'`
permit or be construed as permitting (1) an extension of the maturity of the principal of or -true interest 'on bond of
(2) a reduction in the principal amount of any bond or the rate of interest thereon, or (3) the creation of a pledge of the
Pledged Revenues superior to the pledge created by this Ordinance, or (4) a privilege or priority of any bond or bonds
over any other bond or bonds, or (5) a reduction in the aggregate principal amount of the bonds required for consent
to such supplemental ordinance.
Section 20. (a) The City covenants that it shall not take any action or suffer or permit any action to be taken or condition
to exist which causes or may cause the Interest payable on the bonds to be included in gross income for federal
incorne tax purposes. Wlthdut limiting the generality of the foregoing, the City covenants that the proceeds of the sale i
of the bonds and the Pledged Revenues will not be used directly or indirectly in such manner as to cause the bonds
to be treated as "arbitrage bonds' within the meaning of Section 148 of the Coda
(5) The City represents that it has not used or permitted the use of, and covenants that it will not use or permit the
use of, the improvements being financed or the proceeds of the bonds, in such manner as to cause the bonds to be
"private activity bonds" within the meaning of Section 141 of the Code.
(c) -The City covenants that it will not reimburse itself from Series 2012 Bond proceeds for any costs paid prior to the
date the Series 2012 Bonds are issued except in compliance with United States Treasury Regulation No. 1.150 -2 (the
"Regulation'). This Ordinance shall constitut•an "official intent" for the purpose of the Regulation.
(d) The City covenants that it will, in compliance with the requirements of Section 1489) of the Code pay with moneys
in the Bond Fund to the United States Government in accordance with the requirements of Section 148(17 of the
Code, from time to time, an amount equal to the suns of (1) the excess of (A) the amount earned on all Non- purpose
Investments (as therein defined) attributable to the Series 2012 Bonds, other than investments attributable to such
.excess over (8),the amount which would have been earned if such Non- purpose Investments attributable to the
Series 2012 Bonds, were invested at a rate equal to the Yield (as defined in the Code) on the Series 201• Bonds,
plus (2) any income attributable to the excess described in (1), subject to the exceptions set forth in Section 148
of the Code. The City further covenants that in order to assure compliance with its covenants herein, it wit employ
'a qualified consultant to advise the City in making the determination required to comply with this subsection (d):
Anything herein to the contrary notwithstanding this provision may be modified or rescinded if in the opinion of Bond
Counsel such modification or rescission will not affect the tax- exempt status of the Series 2012 Bonds for federal
Income tax purposes.
`action 21. The City covenants that it will take no action which would cause the bonds to be "federally guaranteed"
within the meaning of Section 149(5) of the Code. The City further covenants that it will submit to the Secretary of the
Treasury of the United States, not later than the 15th day of the second calendar month after the close of the calendar
quarter in which the Series 2012 Bonds are issued, a statement concerning the Series 2012 Bonds which contains the
information required -by Section 149(e) of the Code.
Section 22. The principal amount of the Series 2012 Bonds plus net original issue prernium (59,996,539.20) are
allocated as follows: (a) $2,264.173.41 for the Senior Center Improvements; (b) $1,495,208.85 for the Park and
Recreational Improvements; (c) $3,759,382.26 for the Police Improvements; and (d) 52,477,774.68 for the Firefighting
Improvements.
Section 23. The provisions of this Ordinance are separable and in the event that any section cr part hereof shall pe held
to be invalid, soch.invalidity shall ndt affect the remainder of this Ordinance_
Section 24. All ordinances and resolutions and parts thereof in conflict herewith are hereby repealed to the extent of
such conflict.
Section 25. It is hereby ascertained and declared that the 2012 Improvements are immediately eeded' for the
preservation of the peace, health and safety and to remove existing hazards thereto: The 2012 2012 Improvements
cannot be accomplished thr without the issuance of the Series 2012 Bonds, which cannot be sold at the interest rates
specified herein unless s this Ordinance is immediately effective: Therefore, it is declared that an emergency exists.anki'
._this Ordinance being necessary bi the preservation of the public peace, health and safety shall be in force and take
effect immediately upon and after its passage.
2 7
;1 APPROVED:
Mayor
City Clerk
(SEAL)
Next on the agenda was Boards and Commissions. The Van Buren Housing Authority
recommended the appointment of Connie Pauly to fill the vacant position left by Saundria Small.
Alderman Ragsdale seconded by Alderman Sagely made a motion to grant the nomination. The
Council followed with a unanimous vote.
Next on the agenda was the Financial Statement. Motion was made by Alderman
Ragsdale and seconded by Aldennan Parker to appropriate the sum of 1,394,414.29 to pay
expenses and salaries for July 2012, presented by the City Clerk. The Council followed with a
unanimous vote.
8 -07-2012 1 0 1 1 AM 0077 O F V A N 90019 PAGE: 1
a TRIAL BALANCE r
AS 00'': JUL; 31ST, 2012
00 General Fund
1 NONTH TO DATE YEAR TO OATC
ACCTS ACCOUNT NAME DEBITS CREDITS DEBITS CREDITS
1 ASSETS
1000 Petty Cash 0 -00 200.00
1020 Cash in Bank _3,612.12 140,002.09
1020,03 Cash In Bane- ASP'SSWalnart Gra 0,00 0 -00
1020.04 Veterans Memorial Act 934 0.00 121,923.30
1020.05 2009 Byrne Recovery ant 0.00 0.00
1020.06 2009 Byrne Grant 65.56 0.00 I
1020.07 2007 Byrne Grant 0.00 0.00
1020.00 Cash in Sank Storm Damage 0.00 0.00 ID
:020.09 District Cost Grant-Mediation 0.00 25.00 1 6 6 't o
1020.10 Cash in Bank 000 4,000.00 4,167.70 i s J J l.' h
1020.19 Cash in Dank -RVa8 3,000,00 3,500.00
1020.12 Emergency Managamanc Fund 0.00 0.00
1020.13 Cash In Bank -ACT 833 13,503.95 26,365.19 2 0 O
1020.14 Court Automation- District 1,747.50 84,034.14 1 i`
1020.15 Cash in Bank -ACT 1314 0.00 0.00
1020.16 AR Dept of Rural Services 0.00 0.00
1020.17 New Police Dept 0.03 35,000.00
1020.10 Cash in Bank PO Co Tax 19.359.34 58,491.65
1020.19 Cash in Bank i0 Co Tax 23,837.93 125,094.10
1020.20 Cash In Bank- Erosion Control 350.00 10,975.00
1020.22 Cash In Bank -PEG Grant 0.00 10,000.00
1020.27 Cash in Bank Levee 2,700.00 9,045.26
1020.29 Marina Repairs 174.40 10,265.39
1020.31 Cash in Bank Parks 6 Res 635.50 65,106.63
1020.32 6IF Parks 6 Recreation 0.00 0.00
1020.33 Cash in Bank -Yard Waste 3,429.10 86,926.28
1020.51 Cash in Bank Cemetery 303.96 122.69
1020.91 Cash in Bank Cap imp 232,968.76 76,442.86
1040 Investments 135.17 253,144.94
1040.10 Investments Sales Tax City 0.00 0.00
1040.18 Investments PD Co Tax 0.00 0.00
1040.19 Inveatarente FO Co Tax 0.00 0.00
1040.27 investments Levee 0.00 0.00
i l 1040.31 Investments Parks 0 Res 0.00 0.00
I 1040.51 Investments Cemetery 0.00 38,752.59
1040.91 Investments Cap Imp 459.64 620,189.55
1050 Fined Assets 0.00 0.00
1051 AnCUmulated Depreciation 0.00 0.00
'i 1504 Due from Payroll 0.00 0.00
1505 Due From o:ner Funds 0.00 0.00
1520 Due from Street Fund 16.35
si t :540 Due From Library Fund 0.00 0.00
LIABILITIES AND FUND BALANCE
l 2000 Accounts Payable 404.00 0.00
2010 Municipal Health Ins. Payable 0.00 0.00
Next Police, Fire, Building Inspector, Engineer, Ambulance and District Court
Reports were presented for filing. There being no further questions or changes, the
reports were filed as submitted.
Next on the agenda was Miscellaneous and General Discussion. The council had a
request from Current Church to close streets on September 22 Motion was made by Alderman
Ragsdale and seconded by Alderman Parker to grant the request. The council followed with a
unanimous vote.
Zack Cope, Jay Haynes, and Chase Haynes of Boy Scout Troop 45 were present tonight
to observe the actions of city government. Alderman Donna Parker asked if anyone present was
an Eagle Scout. City Clerk/Treasurer Barbie Curtis noted her husband; Scott Curtis is an Eagle
Scout.
Bill Dones appeared before the council to complain about cross walks and speeding in
front of Brother's Cottage Cafe. Mayor Freeman said they will get with the Arkansas Highway
and Transportation Department to see what can be done. Representative Tracy Penartz
mentioned that she has spoken to a Mr. Mathis at the Arkansas Highway and Transportation
Department. There is a "spot speed study" that can be done and she offered to give the mayor his
information in order to see what can be done.
City Attorney Candice Settle acknowledged the work by the Van Buren Police
Department with the schools and traffic control
There being no further business, motion was made by Alderman Parker and
seconded by Aldernian Ragsdale to adjourn. The Council followed with a unanimous
vote. The meeting adjourned at 7:55 p.m.
AT J ESTED: •PPR0VED:
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CITY CLERK TREASURER MAYOR `�r��